{"id":64,"date":"2023-05-31T10:36:33","date_gmt":"2023-05-31T10:36:33","guid":{"rendered":"https:\/\/www.educationfusionblog.com\/?p=64"},"modified":"2023-10-26T06:51:26","modified_gmt":"2023-10-26T06:51:26","slug":"can-we-prevent-a-retirement-at-75-for-our-children","status":"publish","type":"post","link":"https:\/\/www.educationfusionblog.com\/index.php\/2023\/05\/31\/can-we-prevent-a-retirement-at-75-for-our-children\/","title":{"rendered":"Can We Prevent a Retirement at 75 for Our Children?"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"658\" src=\"https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-1024x658.webp\" alt=\"\" class=\"wp-image-330\" srcset=\"https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-1024x658.webp 1024w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-300x193.webp 300w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-768x494.webp 768w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-150x96.webp 150w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-696x447.webp 696w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c-1068x686.webp 1068w, https:\/\/www.educationfusionblog.com\/wp-content\/uploads\/2023\/10\/Saving-Money-versus-Investing-Money-Portfolio-58a76d173df78c345be4211c.webp 1500w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>I recently stumbled upon a startling revelation in a Money article: the current batch of college graduates might be looking at retirement only at the age of 75! Considering an average lifespan of 84 years, that leaves a mere nine years for retirement. More concerning is that many might not even get to enjoy those nine years, passing away before reaching 75.<\/p>\n\n\n\n<p>While I absolutely advocate the value of hard work, it&#8217;s equally essential for my children to relish the joys of life.<\/p>\n\n\n\n<p><strong>Why Retirement Ages are Creeping Up<\/strong><br>The article pinpoints soaring student loan debt as a primary reason for this shift in retirement age. This mounting debt burden pushes graduates to postpone significant life milestones, like purchasing a home. The delay in building home equity and availing tax benefits further dampens their prospects for an early retirement.<\/p>\n\n\n\n<p>In essence, the weight of student loans is causing graduates to delay building assets, such as home ownership, until much later in their lives.<\/p>\n\n\n\n<p><strong>Inculcating Financial Wisdom Early On<\/strong><br>Even though my eldest is just in the 6th grade, our lessons in financial prudence have already commenced. Here&#8217;s our approach:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Earning and Allocating his Allowance<\/strong>: His allowance isn&#8217;t just handed to him; he earns it. Chores around the house and dedication to his schoolwork determine his allowance. Slacking means no money. Of what he earns, he allocates: 10% for giving, 20% towards investing, 10% for savings, and the remaining 60% for his discretionary spending.<\/li>\n\n\n\n<li><strong>Encouraging Investment with Matches<\/strong>: My spouse and I haven&#8217;t created college funds for our kids. Instead, we&#8217;ve established an account specifically for our son&#8217;s college fund, but it&#8217;s under our control. We match whatever he puts into this from his investing allocation. This matching has spurred him to invest even unexpected money, like birthday gifts or the $20 he found once.<\/li>\n\n\n\n<li><strong>Discussing the Future of Finances<\/strong>: We frequently chat about retirement, the magic of compound interest, and the advantage of initiating a Roth IRA early in life. My son is eager to get started on this during his teen years.<\/li>\n\n\n\n<li><strong>The College Conundrum<\/strong>: College is a frequent topic at our home. My son understands our aspirations for his higher education and the importance of selecting a financially rewarding major. He&#8217;s well-aware of the pitfalls of student loans. His proactive approach has him researching scholarships and colleges, even spotting ones available for 7th and 8th graders.<\/li>\n\n\n\n<li><strong>Value for Money<\/strong>: The lesson of money&#8217;s worth starts early. From picking free books as gifts for his sisters to couponing for groceries, he&#8217;s learning to stretch his dollar.<\/li>\n\n\n\n<li><strong>Teaching Through Refusal<\/strong>: While we meet his needs, we often refrain from fulfilling all his wants. This has taught him the art of saving for what he desires.<\/li>\n<\/ul>\n\n\n\n<p>I&#8217;m well aware that my 6th grader will evolve as he grows older, but the foundational principles we&#8217;re instilling now will stand him in good stead. My aspiration is that, armed with this knowledge, he might not only avoid retiring at 75 but perhaps even consider early retirement.<\/p>\n\n\n\n<p>What strategies do you employ to provide your children with a strong financial start?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>I recently stumbled upon a startling revelation in a Money article: the current batch of college graduates might be looking at retirement only at the age of 75! Considering an average lifespan of 84 years, that leaves a mere nine years for retirement. More concerning is that many might not even get to enjoy those [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":330,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-64","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-retirement"},"_links":{"self":[{"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/posts\/64","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/comments?post=64"}],"version-history":[{"count":2,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/posts\/64\/revisions"}],"predecessor-version":[{"id":332,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/posts\/64\/revisions\/332"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/media\/330"}],"wp:attachment":[{"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/media?parent=64"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/categories?post=64"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.educationfusionblog.com\/index.php\/wp-json\/wp\/v2\/tags?post=64"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}